Major Ethereum investors, known as "whales," have accumulated over 950,000 ETH (worth approximately $1 billion) in recent months, sparking discussions about potential price targets reaching $5,000. This massive accumulation signals strong institutional confidence in Ethereum's future prospects.
Whale Accumulation Pattern
Data from Santiment reveals two major accumulation phases by large investors. The first wave saw whales collecting 620,000 ETH between July and August, coinciding with ETH's price surge from $2,400 to $4,000. A second phase followed with an additional 330,000 ETH purchase as prices hovered around $3,193.
Current Market Position
ETH currently trades at $3,193, recently testing support at $3,044.99. The asset faces resistance at the 50-day moving average of $3,507.71, while finding support at the 200-day moving average of $2,984.25. Breaking above $3,507 could open the path toward the $4,000-$4,200 range.
Network Metrics Show Mixed Signals
While whale interest remains strong, network growth metrics present a mixed picture. New address creation dropped from December's peak of 181,000 to 52,200 by January 23rd, indicating slower adoption rates. However, overall network activity maintains robustness, backed by solid on-chain fundamentals.
Path to $5,000
The journey to $5,000 depends on several key factors:
- Sustained whale accumulation
- Recovery in network growth
- Breaking key technical resistance levels
- Favorable market conditions
While recent whale activity suggests growing institutional confidence, the slowing network growth and technical barriers could impact the timeline for reaching the $5,000 mark. The market continues to watch whether ETH can maintain current support levels and build momentum for its next major move.